Kano govt’s move against hoarders stirs debate

Following the continuous rise in prices of essential food items in the state, the Kano State Public Complaint and Anti-corruption Commission (PCACC) on February 10 sealed warehouses in the state capital for allegedly hoarding tonnes of various food items. The surprise operation led by its chairman, Barr Muhuyi Rimingado, saw the commission sealing warehouses stocked […]

Following the continuous rise in prices of essential food items in the state, the Kano State Public Complaint and Anti-corruption Commission (PCACC) on February 10 sealed warehouses in the state capital for allegedly hoarding tonnes of various food items.

The surprise operation led by its chairman, Barr Muhuyi Rimingado, saw the commission sealing warehouses stocked with essential commodities such as millet, noodles, sugar and spaghetti at the famous Dawanau grains market. 

The PCACC boss, Muhuyi, had recently issued a stern warning to businessmen hoarding food items to desist from the act. 

He said the commission has intelligence reports of some warehouses that are being used to stockpile these commodities, which he said was responsible for high food prices in the state. 

No fewer than five warehouses were sealed including one belonging to Hamir Investment, which was found to be stocked with thousands of cartons of noodles and sugar, among others and another belonging to Rigasa Trading Company stocked with grains. 

The chairman said the agency will continue to raid warehouses where food items are suspected to be hoarded.

 However, Muhammad Ahmad, the owner of Rigasa Trading Company, told the PCACC chairman that they were not hoarding food items but were contracted by the United Nations to supply food to the insurgency-ravaged states of Borno, Yobe and Adamawa.

Rimin Gado asked him to bring all the necessary documents to convince the commission to unseal the warehouse. 

He claimed the commission’s action had led to a fall in the prices of essential food items in the state.

“We have made an impact arresting the rise of prices of essential commodities. If we sustain the tempo, we will be able to bring the prices down in no time. 

“I assure you that after completing our investigation we will file the case before the court and the court will now determine what will be the next move,” he said. 

Rimin Gado also visited the popular Singa Market where he had discussions with some essential commodities wholesalers on the way forward.

Daily Trust reports that days before the February 10 raid, there were widespread complaints in the state on the rising cost of living.

Many residents accused some businessmen of being responsible for the hardship, alleging that some of the big businessmen dealing in food items are engaged in hoarding.

The Kano State Governor Abba Kabir Yusuf, during a meeting with a cross section of the businessmen to address the issue, implored them to show compassion and empathy towards the people of the state and devise solutions to address the escalating inflation. 

Yusuf expressed a deep concern for the dire circumstances faced by the populace due to the persistent inflation, noting that many are unable to afford three meals a day. 

He lamented that the exorbitant prices of essential goods, influenced by monopolistic practices, could be mitigated if the business community upholds moral and ethical values, emphasising the need for a concerted effort to address the situation. 

Despite the rise in the exchange rate, the governor believes that corrective measures can significantly alleviate the situation. 

The governor pledged to establish a high-powered Business Community Consultative Forum, which will convene regularly with government officials to combat monopolistic practices and create a conducive business environment. 

He also proposed the implementation of a price regulatory mechanism to stabilise prices of essential food items to provide relief to the populace. 

During the interactive session, some business leaders attributed the rise in prices to factors such as high exchange rates of the dollar, production costs, unreliable power supply for local industries and border closures.  

They urged the governor to seek intervention from the federal government to stabilise the exchange rate, emphasising the detrimental impact of inflation on both consumers and the business community.

Traders reject claims, vow to sustain price

Meanwhile, following the action of the anti-corruption agency, traders at the Singer market in Kano have rejected alleged claims that they are involved in hoarding essential goods and commodities in warehouses across the market.

The traders who were at the Kano Public Complaint and Anti-Corruption Commission (PCACC) to dissociate themselves from the practice also pledged to sustain the current price of foodstuff.

The leader of the traders who spoke shortly after the meeting, Ibrahim Danyaro, said, “We don’t hoard goods and other essential commodities and that’s why we are here today to discuss the issues with the PCACC.

“We have come with our receipts and invoices and they have understood clearly that we are not involved in that practice. We are just businessmen buying from manufacturers and still at that, we sell at the lower price than any place you can think of in the state.” 

Also speaking, another businessman, Hamisu Rabiu, assured residents in the state that they would do anything possible within their power to sustain the current price of goods and commodities especially as fasting period approaches.

“As we said, we are not responsible for the increased price. We are also battling with it. However, we will do our best in maintaining the current price as far as we are concerned. This is a promise especially now that the fasting period is around the corner.

“The problem is not ours but we have advised the commission to sit with the companies that we are also dealing with to hear the root cause of the issue from their end,” he said.

On his part, the chairman of the commission, Muhuyi Magaji Rimin Gado, explained that the commission is convinced with the traders while also pointing out that the suspected warehouses were the majority not in the market.

He however stressed the commitment of the commission and the government in trying to fish out hoarded goods in some intelligence reported areas.

“We are convinced that they don’t do that and they have expressed their readiness to work and support us in this regard. We want to assure the public and erring traders that we will not relent in bringing out those who are hoarding goods. 

“We already knew about some people hoarding rice paddy and we are coming after them. We are also appealing to the public to assist us in this regard,” he said.

It’s a wrong move, may create more problems – Residents

Speaking on the development, some residents and businessmen have faulted the pattern at which the PCACC operates in an attempt to address the situation.

Aminu Adamu, a resident, said the matter may get worse if care is not taken.

“Now that the businessmen are scared, they may hold back bringing items into the state. And once they hold back and stop bringing in the commodities for the fear of being victimised then the suffering will escalate,’’ Adamu said.

He said the issue was not the scarcity of the items but that of high prices.

“In Singer market, the goods are not scarce; they are just expensive. It’s to find the root cause of the problem and address it and not to be victimising people.

“Every serious businessman in these markets has warehouses where he keeps his wares as shops can’t contain the goods,” he said.

Also speaking, Nafiu Sunusi agreed with the warehouse owners who claimed that they are not involved in hoarding, examining that, “The price of the goods and commodities especially in the markets identified is relatively cheaper than anywhere around the state.”

He added that, “The consequences of the action may escalate and render many across markets jobless when they stop bringing in food items.”